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Energy: Wind Generation

Volume 711: debated on Thursday 4 June 2009


Asked by

To ask Her Majesty's Government what the additional financial support set out in the Budget for offshore wind farms will add to electricity consumers' bills. [HL3405]

If a higher level of support as set out in the Budget for offshore wind under the renewables obligation were to go ahead, it would have no cost in the short term before the projects start generating electricity. It will have an impact on electricity bills in the longer term. The final cost would depend on how many projects proceed and meet the criteria and the effect that this has on the electricity market.

Our expectation is that this proposal could be worth some £2 billion to £3 billion of additional support over the twenty years' lifetime of the projects. Officials are currently undertaking work to assess the longer-term impact of renewables policy measures on consumer energy bills, as part of the renewable energy strategy.